COLUMBUS, OH - Governor Mike DeWine is cutting $775 million dollars from the state budget in the next two months as Ohio’s revenues have fallen during coronavirus pandemic.
DeWine says The Buckeye State went from running $200 million dollars ahead in revenue estimates in February, to a nearly three-quarter billion dollar drop, last month. The governor says he’s not tapping Ohio’s $2.7 billion rainy day fund until the new fiscal year begins in July.
The budget can be balanced now with cuts, and the rainy day money will be needed later this year and next, he added. The budget cuts include $355 million dollars for schools and $210 million dollars from the state Medicaid program.
On Tuesday, Governor DeWine said further, state agencies will immediately freeze new requests for contract services, except for those services that are necessary for emergency response, and will strictly scrutinize the continued need for those services.
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Breakdown of Cuts for two months:
•Medicaid: $210 million
•K12 Foundation Payment Reduction: $300 million
•Other Education Budget Line Items: $55 million
•Higher Education: $110 million
•All Other Agencies: $100 million
•Total cuts: $775 million
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